Category Archives: Quotes & Comparisons

Why Not Knowing about Liability Insurance Can Cost You

Not knowing about liability insurance can cost you even all the way to a bankruptcy. If someone is injured on your property, they will seek ecovery of their medical expenses and any legal expenses they incur due to that injury. Without general liability insurance, you will be footing all those bills. If you are a contractor and your workers do a poor job for a client, you may be sued for poor workmanship. If you do not have professional liability insurance, you pay for repairs and other claims.

Not knowing about liability insurance is no excuse. There is plenty of information available about types of liability insurance and who should have each type. Your insurance agent should be advising you about which types of liability you should carry. Then it is up to you to acquire the recommended coverage for your home or business. Even independent contractors should carry professional liability insurance; it is often required to obtain some job contracts.

Personal liability insurance protects you and your assets in case of a claim due to negligence, injury or property damage. It is reasonably priced and affordable; what you cannot afford is to go without it. Contact your insurance agent today to be sure that your assets are protected along with your home, vehicle or business. Otherwise, you are all alone when an accident or injury for which you are responsible for happens.

If you are uninsured for liability, all you own is fair game for legal action to provide fair compensation to an injured party. You could lose your property, your business and your livelihood. The prospects of this happening are real; it is a road you do not want to take. Contact your insurance agent today and get the proper liability insurance that you should have for protection.

Costly Insurance Mistakes

While there are many legitimate ways to save on your monthly insurance bill, there are just as many mistakes that can end up costing you more in the end – especially if the insurance company drops your policy after discovering fraudulent claims. Here are a few of the top mistakes that you should avoid making.

  1. Don’t lie to your insurance agent. While a lower price quote is attractive, intentionally fibbing about changes you’ve made to your car or negative marks on your driving record can cost you a lot in the end. In fact, being untruthful about either justifies the insurance company dropping your policy.
  2. Don’t forget to shop around. Request free quotes from more than one company, and always take the time to compare prices before making a purchase.
  3. Don’t sign without inquiring about discounts. There are many different kinds of discounts, including good student breaks. However, if you don’t ask you probably won’t be offered one.
  4. Always compare price vs. coverage. Sometimes the lowest price is the worst deal you can take because you’ll end up paying out of pocket for anything excluded from your policy, like medical and lawyer fees.
  5. Ask for a multi-policy price cut. Most insurers will discount the final price if you purchase multiple insurance policies at one time.
  6. Look at the big picture vs. the monthly bill. Many insurance companies offer some sort of price cut for a paying for your policy upfront as opposed to smaller monthly payments.

Shopping for an affordable insurance policy doesn’t have to turn into a nightmare, even if you are new to purchasing your own coverage. The most important thing you can do before signing the deal is to carefully read the fine print so you know what you’re really getting into.

Why Your Insurance Company Matters

Whether you are in the market for auto insurance, homeowners insurance or any other kind of insurance, it makes a difference which insurance company you choose. Every insurance company is different, and they may look at individuals differently when it comes to issuing policies and assigning premiums.

Categorizing Risk

In general, all insurance premiums are based on the level of risk presented to the insurer by the party to be insured. The lower the risk you present, the lower your premiums will be. As a simple example, term life premiums are based primarily on age and health. A 20-year-old male in perfect health and physical condition has a far lower chance of dying than a 50-year-old with emphysema. The 20-year-old could probably get a million dollar 20-year term life policy for less than $100 per month in premiums while the 50-year-old with emphysema might not be able to qualify for a policy at any price.

Automobile Policy Premiums

Your insurance company matters when buying auto insurance because premiums can vary greatly depending on the category of risk you happen to fall into at the time you apply for insurance. Auto insurance rates are based on such factors as your age, sex, type of car you drive, where you live, your driving record, your credit record and many other variables. Some insurers place more weight on one category than the other, which can affect your personal risk assessment and result in higher premiums. Shopping around, you might find the exact same coverage for several hundred dollars less depending on the insurance company you choose.

Service Matters, Too

You should not shop for insurance based solely on the lowest premium you can find. Having a good insurance company that pays claims promptly and offers great overall customer service is well worth a few extra dollars in a monthly premium.

Multiple Lines of Insurance

For both convenience and bundled savings, if you purchase several different policies from a single insurance company, you can often get a substantial overall discount. If you go to an insurance firm that only sells auto insurance, you may be depriving yourself a better deal on all of your insurance needs.

Types of Colorado Liability Insurance

Those who need Colorado car insurance and Colorado homeowners insurance need to consider several different scenarios before they choose their policies. For the best and most comprehensive protection, it’s wise to consider liability insurance with both Colorado auto insurance and Colorado home insurance.

For your automobile

If you’re in an automobile accident, liability Colorado auto insurance will cover you in the event you are at fault in a car accident. In Colorado, you must have minimums of $25,000 in coverage for the injury of one person and $50,000 coverage for the injury of more than one person. You also have to carry $15,000 in coverage for property damage. These are minimums, and many experts recommend that you carry more. In Colorado, you can’t even register a vehicle, much less drive one, until you can prove that you have it insured to the minimum standards.

For your house

Although you are not legally required to have homeowners insurance in Colorado, it’s important to have because you’ll want to protect yourself in the event you have property damage from some kind of disaster and need to repair or rebuild your house or replace your possessions.

In addition, even though Colorado homeowners don’t think of it, liability coverage is also important if you’re a homeowner. That’s because if someone should slip and fall or otherwise have an accident while in your home or on your property, you can be sued for damages. It’s suggested that you carry at least $100,000 in liability coverage for your homeowners policy, although most experts recommend that you up that amount to $300,000, to be safe.

How to Obtain a Colorado Insurance License

If you wish to sell insurance in the state of Colorado, you will first need to get a license permitting you to sell various types of insurance. There are several different types of licenses that an insurance agent might need or want to be able to sell a wide range of products such as life, medical, homeowner and auto insurance. Some agents specialize in just one area and only require a single license, while those that cover a broad area often will have two or more licenses.

The first step to getting a Colorado insurance license is to take a pre-license insurance education course. You will learn all of the terminology and other related information and, upon completion of the course, receive a certificate acknowledging that you successfully completed the training.

Next, you will be required to demonstrate your knowledge and proficiency of the subject matter by taking and passing a test in the particular line or lines of insurance you wish to sell. If all goes well, you will be issued a license that certifies you as an agent or producer authorized by the state of Colorado to sell one or several different lines of insurance.

There are separate requirements if you are going to sell to both individuals and businesses. For personal lines of insurance, such as selling individual homeowner policies or auto coverage to private citizens, you need one type of license. If you get a license with Property and Casualty authority, you are permitted to sell to both individuals and businesses.

So, if selling insurance in Colorado is going to be your choice of professions, be prepared for some intense study so that you will gain the knowledge and be able to pass the state exam and get your license. Once you have the license, you will need to refine your people skills so you can get them to buy insurance from you.

How to Understand Colorado Insurance

If you are in the market for home or auto insurance in Colorado, you may be baffled by some of the words, phrases, and information you receive. We’ll address some of these issues in a question-and-answer format.

What does “coverage” mean?

Coverage means the amount of money that will be paid in the event you file a claim. For example, if you have an automobile accident, and your coverage is listed as 25/50/15, this means you have $25,000 in bodily injury per person coverage; $50,000 in bodily injury per accident coverage, and $15,000 in property damage coverage. These figures are the state minimum amounts that you must have in Colorado, but you can opt for more coverage.

OK, I can have more. Do I have to have more?

No, as mentioned earlier, the figures quoted above are what are called “state minimum amounts”. In other words, this is all the coverage you have to have in order to meet Colorado State Insurance Laws.

Do I have to have car insurance in Colorado at all?

Yes, it is State Law in Colorado that you have to have car insurance.

What about homeowners insurance?

No, you are not required by the State of Colorado to have homeowners insurance; however, some mortgage companies may make it a requirement for as long as you are paying the mortgage.